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  Geebo 8:00 am on October 7, 2024 Permalink | Reply
  Tags: land scam ( 2 ), real estate, real estate fraud ( 2 ), Scams ( 1,355 )   

  How Homes and Land are Stolen 

  

  By Greg Collier

  Recently, two alarming cases have come to light, revealing how easily real estate fraud can target homeowners and landowners across the country. These incidents, involving stolen properties in different Massachusetts towns, underscore the growing threat of fraudulent schemes in the real estate sector, a problem that can affect anyone, anywhere.

  In one case, a couple who had owned a piece of vacant land for decades discovered that it had been sold without their knowledge. Despite their long-term plans to build a home there, thieves impersonated the owners, forged identification documents, and initiated a sale. By the time the true owners found out, the property had been sold at a price far below market value, and new buyers were already building on it.

  In another case, a homeowner was nearly defrauded when a purchase agreement was drawn up for his home without his consent. A potential buyer from out of the country had supposedly agreed to buy the house in an all-cash transaction. Fortunately, the homeowner was warned by an attorney before the sale could go through, but the fraudsters didn’t give up easily, continuing their attempts to seize the property.

  These scams highlight a critical point, real estate fraud can happen anywhere, in any community. Both urban and rural areas are vulnerable, whether the target is a vacant lot or a family home. Fraudsters exploit the anonymity of property ownership, especially when the owners are not physically present or have limited oversight of the property.

  The methods used are often shockingly simple. Criminals forge documents, create counterfeit IDs, and manipulate digital records to push fraudulent transactions through. With the rise of electronic documentation and remote transactions, it’s easier than ever for scammers to exploit gaps in the system. Owners may only discover what has happened when it’s too late, as in the case of the couple who lost their land.

  These cases also show how scammers are becoming bolder, even sending professionals like engineers or real estate agents to the property, lending credibility to their schemes. Without constant vigilance, homeowners and landowners are left vulnerable to losing their assets without realizing it.

  Preventing these kinds of scams requires a proactive approach. Monitoring property records is essential, and many registries of deeds now offer notification systems that alert owners to any changes made to their property records. Additionally, staying in contact with legal professionals when engaging in real estate transactions can help catch red flags early.

  Ultimately, the increasing number of these fraud cases highlights the need for greater awareness and caution in real estate dealings. Whether it’s vacant land or a home in a quiet neighborhood, no property is immune to these sophisticated scams. As these cases show, what happened in Massachusetts could happen anywhere.

   

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  Geebo 8:00 am on September 3, 2024 Permalink | Reply
  Tags: real estate, rental scam ( 87 ), Scams ( 1,355 )   

  Avoiding Rental Scams in a Competitive Market 

  

  By Greg Collier

  Rental scams have become an increasingly troubling issue, preying on those who are often desperate to find affordable housing. Recent cases highlight the devastating impact these scams can have on individuals and families, particularly when circumstances force them into vulnerable situations.

  One victim encountered a scam while searching for a rental property in Seattle. After finding what seemed to be an ideal condo in Belltown, Washington, she engaged in what appeared to be a legitimate transaction. The scammer, posing as the owner, provided a detailed lease agreement, which appeared credible. The victim wired $3,700, only to discover that the property was not for rent but was listed for sale by a reputable real estate company. By the time the truth came to light, the money was gone, and the scammer had disappeared, leaving the victim with a financial loss and no recourse.

  A similar situation unfolded in Clayton County, Georgia, where a family was eager to secure stable housing after years of living in motels. An acquaintance connected them with someone offering a house for rent at an affordable price. The transaction felt genuine, with paperwork and a lease that seemed legitimate. The family paid $1,200 and moved in, only to be confronted by law enforcement days later. The lease was fake, and the family was forced to leave the property, losing not only the money they paid but also some of their personal belongings. The scam left them in an even more precarious situation, scrambling to find shelter each night.

  These cases illustrate how scammers exploit the current housing market, where competition for affordable rentals is fierce. Fraudsters often target properties listed for sale, posing as potential buyers to gain access, and then listing the property for rent. With access to the home, they can convincingly show it to prospective renters, who may be eager to secure a deal in a competitive market. By the time the deception is uncovered, the scammers have vanished with the money, leaving the victims with little recourse.

  In both scenarios, the scammers relied on the appearance of legitimacy to carry out their schemes. The victims were provided with what seemed like proper documentation and assurances that made the transactions feel secure. However, the scammers’ tactics, such as requesting payment before a formal in-person meeting or refusing to allow a tour of the property, were subtle red flags that could have indicated the fraudulent nature of the deals.

  The impact of these scams extends beyond financial loss. For the victims, the emotional toll of realizing they have been deceived can be profound. The process of searching for a home, especially in a tight market, is already stressful. When that search ends in a scam, the victims lose money and face the daunting task of starting over, often with fewer resources than they had before.

  As the housing market remains competitive, it’s crucial to exercise caution when searching for rental properties. Prospective renters should be wary of deals that seem too good to be true, and take steps to verify the legitimacy of the property and the person claiming to own or manage it. Trusting instincts and doing thorough research can help protect against falling victim to these increasingly common scams.

   
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  Geebo 8:00 am on August 9, 2024 Permalink | Reply
  Tags: BEC scam ( 5 ), business email compromise ( 11 ), home buying ( 5 ), real estate, Scams ( 1,355 )   

  Protecting your new home from BEC scams 

  

  By Greg Collier

  Finding your dream home can be exhilarating, yet fraught with unexpected challenges. For one Colorado couple, the process took a devastating turn just days before closing on their new home, highlighting a growing threat to homebuyers, the Business Email Compromise (BEC) scam.

  The couple, eager to settle into a family-friendly home, found themselves victims of a sophisticated email scam. Both working in the healthcare field, they were unfamiliar with the nuances of real estate transactions. As they prepared to close the deal, they received emails that seemed to be from their lender and title company. These emails, however, were from a hacker who had infiltrated the email chain, subtly altering the sender’s address to deceive them.

  Despite their efforts to verify the wire transfer through their financial advisor, who diligently contacted their financial institution, the funds vanished. They lost over $30,000, a sum representing years of savings. Though they managed to complete the purchase, their financial plans were put on hold.

  To safeguard against BEC scams, experts recommend maintaining open lines of communication with your realtor or title company through phone calls or in-person meetings. Verifying wire instructions by phone before transferring funds is crucial.

  Title companies often emphasize the importance of wire fraud prevention, promoting awareness of best practices, and encouraging real estate agents to educate buyers early and often.

  Following their loss, the couple filed insurance claims with both their financial institution and the title company. However, both companies denied responsibility.

  This incident should serve as a cautionary tale for anyone involved in real estate transactions. By adopting preventive measures, homebuyers can protect themselves from falling victim to similar scams. Always verify email addresses, confirm wire instructions via phone, and be wary of any unexpected changes in communication.

   
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  Geebo 8:00 am on August 8, 2024 Permalink | Reply
  Tags: deed transfer ( 13 ), real estate, real estate fraud ( 2 ), Scams ( 1,355 )   

  Homeowner battles eviction after decades-old scam 

  

  By Greg Collier

  For over fifty years, a 90-year-old man has called a Brooklyn, New York, brownstone his home. It’s a place rich with memories, where he raised his three children and imagined spending his final days. But instead of enjoying a peaceful retirement, he finds himself in a bitter legal struggle to remain in his beloved home. The root of his troubles is a scam that has left him facing imminent eviction and his name missing from the deed of the house he’s cherished for decades.

  The house, which he purchased in 1969 for just $20,000, now stands as a prized asset in a neighborhood transformed by gentrification. Its current value is close to $3 million, a testament to the dramatic changes in Brooklyn since he first moved in.

  Fraud of this nature is alarmingly common in rapidly changing neighborhoods, especially in certain areas of Brooklyn and Queens, where many people have been victims of deed theft or real estate fraud.

  The scam that ensnared this victim is a complex web of deceit, with its intricacy adding to the deception’s success. In 2006, needing funds for renovations, he was duped into signing over his home’s deed to a con artist with a criminal history. A deed was returned to him, appearing legitimate with a notarized signature from a crooked attorney, yet it was never officially recorded.

  Unbeknownst to the victim, the con man leveraged his home to secure a $700,000 line of credit, eventually leading to foreclosure and a $2 million sale by the bank. He remained in the dark about these proceedings for nearly a decade, only discovering the betrayal when the foreclosure was complete.

  To protect yourself from such scams, it’s crucial to be cautious when dealing with property-related transactions. Always verify the credentials of anyone asking you to sign over property documents, and consult a trusted legal professional before making any agreements. Regularly check public property records to ensure your property’s deed is correctly recorded in your name, and be wary of offers that seem too good to be true. By staying vigilant and informed, you can safeguard your home and financial future against fraud.

   
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  Geebo 8:00 am on August 6, 2024 Permalink | Reply
  Tags: military ( 12 ), military housing, real estate, rental scam ( 87 ), Scams ( 1,355 ), US Army   

  Housing scams target incoming soldiers 

  

  By Greg Collier

  As soldiers prepare for a new chapter in their military careers, the excitement of moving is unfortunately being overshadowed by a wave of housing scams. Fort Carson, in Colorado, recently took to social media to alert the community about a troubling trend targeting incoming soldiers. The post warned of fraudulent online listings advertising available homes, leading to multiple reports of soldiers being scammed out of their money.

  The scam typically involves deceitful advertisements for rental properties. Soldiers, eager to secure housing, are asked to send deposit fees upfront to secure the home. However, upon arrival, they find the property is already occupied by its rightful owner, who never listed the home for rent. This distressing situation causes financial loss and creates significant stress and disruption for soldiers and their families.

  The Army emphasizes the importance of caution when searching for housing. They urge soldiers to utilize their official housing website, which offers reliable information about realtors and available housing options, both on-post and off-post. For soldiers planning a move to a new base, it’s essential to verify the legitimacy of any housing listings before making any financial commitments.

  Verify the information provided by landlords by cross-referencing with reputable real estate platforms and property management companies.

  Be wary if landlords refuse to meet in person or ask for unusual payment methods. Just because your current landlord accepts payments through an app doesn’t mean every user of that app is trustworthy. Payment apps like Cash App are meant for transactions between people you already know personally.

  If something feels off, trust your instincts and investigate further before making any agreements or payments. By reporting scams to the appropriate authorities, you protect yourself and help prevent future fraudulent activities.

   
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  Geebo 8:00 am on July 8, 2024 Permalink | Reply
  Tags: BEC scam ( 5 ), business email compromise ( 11 ), home buying ( 5 ), real estate, Scams ( 1,355 )   

  Email scam dupes homebuyers, bank delays refund 

  

  By Greg Collier

  Homebuyers are finding themselves vulnerable to a sophisticated and growing threat: business email exchange (BEC) scams. These cybercrimes exploit the trust and urgency inherent in property purchases by infiltrating email communications between buyers, sellers, and their agents. With access to sensitive information, scammers impersonate legitimate parties to redirect substantial down payments and closing costs into their own accounts. This deceptive tactic not only results in significant financial loss but also disrupts the dream of homeownership for many unsuspecting victims.

  One couple wired $25,000 meant for their home purchase but were tricked into sending it to a scammer. However, TD Bank, which held the scammer’s account, froze the account before the scammer could abscond with the funds. Despite this, more than 20 months later, the couple still don’t have their money back due to a bank delay.

  After nine years in a townhome, the couple decided to buy a single-family home. They found a house and were set to close. They received a legitimate email from their title company. The next day, a scammer impersonating the title company sent an email with new wire instructions, which went unnoticed. They authorized a $25,000 transfer from their Chase account to the scammer’s TD Bank account.

  When the real title company reported not receiving the payment, they realized they had been scammed. They rushed to Chase Bank to recall the wire, but it couldn’t be recalled. Fortunately, TD Bank had frozen the account. They reported the fraud to the FBI through the Internet Crime Complaint Center (IC3). The FBI informed them that TD Bank needed an indemnification letter from Chase to release the funds. After much persistence and involving the Better Business Bureau (BBB), Chase issued the letter.

  However, the letter repeatedly failed to reach the correct hands at TD Bank. Months passed with no resolution, forcing the couple to dig into their retirement savings to make the down payment for the house. It wasn’t until the couple got the local media involved before the letter from Chase finally found the right recipient at TD Bank. The couple is receiving a refund but only for a partial amount.

  Banks should prioritize assisting scam victims promptly and efficiently, minimizing bureaucratic hurdles. The current landscape, where fraudsters can exploit complex financial systems, demands that banks adopt a more proactive and compassionate approach. Simplifying the process for victims to recover their funds and providing clear, supportive guidance can significantly alleviate the emotional and financial stress caused by scams. By reducing red tape, banks can enhance their reputation for customer service and contribute to a more secure and trustworthy financial environment.

  Homebuyers should always verify any payment instructions in person or over the phone to avoid falling victim to BEC scams. Scammers can create convincing emails that appear to be from trusted parties like real estate agents or title companies. To ensure the legitimacy of wire instructions, buyers should contact the issuing party directly using a known, reliable phone number, or visit them in person. This extra step of verification can prevent significant financial loss and provide peace of mind during the homebuying process.

   
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  Geebo 8:00 am on June 12, 2024 Permalink | Reply
  Tags: home buying ( 5 ), real estate, Scams ( 1,355 ), zillow ( 15 )   

  $1M home offered for $10K in scam 

  

  By Greg Collier

  A Kansas City couple recently discovered that their luxurious 5,300-square-foot ranch home had been fraudulently listed for sale on Zillow. The scam became evident when friends began inquiring if they were selling their nearly million-dollar home for a mere $10,200.

  Despite the home’s actual market value being around $1.2 million, the fraudulent listing presented a too-good-to-be-true offer, claiming it was part of a charitable gesture to help first-time buyers. The listing further attempted to restrict access to real estate professionals, lenders, and attorneys, aiming to scam potential buyers directly.

  Unfortunately, this scam is not new. Real estate scammers often list high-value homes for sale online at a fraction of their actual price. They typically claim to own multiple properties and present the low price as a way to assist first-time homebuyers, purportedly for tax benefits. However, these scammers specifically target first-time buyers without representation from a realtor, bank, investor, or attorney. They also request payments through platforms like Venmo or Cash App, adding to the fraudulent nature of the scheme.

  In this instance, in Kansas City, the fraudulent listing invited interested buyers to contact a phone number associated with a Las Vegas area code and requested a $200 advance payment through an online banking app, just to take a tour of the home.

  This led to scam victims knocking on their door, expecting a home tour. The couple’s attempts to resolve the issue included providing proof of ownership to Zillow, yet responses from the site were slow. After the local newspaper became involved, Zillow removed the listing.

  If you’re a first-time homebuyer, remember that a homeowner offering a home at a steep discount for a tax write-off is not a legitimate practice. Anyone making such claims in a real estate listing is likely trying to scam you. Avoid making any payments through platforms like Venmo, Cash App or Zelle, as recovering funds from these platforms is nearly impossible once the payment is made.

  To protect yourself from deceptive property listings, verify information with the county’s tax assessment office. This resource will provide you with the necessary details to identify the legitimate homeowner, ensuring a secure and informed home buying process.

   
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  Geebo 8:00 am on May 31, 2024 Permalink | Reply
  Tags: contract for deed, home buying ( 5 ), real estate, Scams ( 1,355 )   

  Avoiding risky home-buying practices 

  

  By Greg Collier

  For those navigating the home-buying market, it’s crucial to be aware of potential pitfalls, particularly when considering a ‘contract for deed.’ This method involves an agreement where the home buyer makes payments over time directly to the seller, rather than securing a traditional mortgage. While this can seem like an attractive option, it carries significant risks.

  The primary concern with a ‘contract for deed’ is the reduced level of protection for buyers compared to standard mortgages. This makes it easier for unscrupulous individuals to exploit the situation. Minnesota’s Attorney General has issued a warning, emphasizing the need for caution and understanding when entering into such contracts. It is essential to fully understand the terms of a ‘contract for deed’ and to be aware of your rights and responsibilities before signing.

  Ensure that the seller has paid the home’s property taxes and that the property is not in foreclosure. Unpaid taxes or foreclosure status can lead to serious complications down the line.

  Determine if the contract includes a balloon payment, and if so, understand the amount and due date. This lump sum payment can catch buyers off guard and create financial strain.

  Before entering into a contract, have a clear plan to pay off the entire amount. Additionally, account for annual property taxes and maintenance costs.

  Obtain a professional home appraisal and inspection. This step ensures you are not overpaying and that the property is in good condition.

  Be prepared to handle repair costs, property taxes, and general upkeep once the contract is signed. These expenses can add up quickly and need to be factored into your budget.

  Check the interest rate being charged by the seller and compare it with rates from lenders. Ensuring the rate is competitive can save you money in the long run.

  Record the contract with the county recorder’s office within four months of signing. This step may provide additional protections under the law.

  If you find yourself a victim of a scam, report it immediately. Many individuals feel ashamed when they realize they have been scammed, but remember that con artists are skilled professionals. Reporting these incidents helps protect others and can prevent future scams.

  In summary, while a ‘contract for deed’ might seem like a viable alternative to traditional home financing, it comes with substantial risks. Thoroughly understanding the contract and being cautious about the details can help you avoid potential pitfalls and make informed decisions in your home-buying journey.

   
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  Geebo 8:00 am on May 10, 2024 Permalink | Reply
  Tags: Immigration ( 12 ), migrant crisis ( 3 ), real estate, rental scam ( 87 ), Scams ( 1,355 )   

  Rental scam targets migrants 

  

  By Greg Collier

  A Denver homeowner’s journey began innocuously enough, with a knock on her door from a migrant seeking to rent her home. Bewildered, she turned him away, only to encounter similar hopefuls in the days that followed. These migrants, deceived by online listings and duplicitous promises, arrived at her doorstep, wallets lighter and dreams shattered.

  The migrants had been victimized by rental scammers. As awareness of rental scams grows among American consumers, the scammers are shifting their focus to those who may be unfamiliar with such schemes. Regrettably, newcomers to our country are perceived as ideal targets by these scammers.

  Armed with stolen identities and falsified documents, rental scammers lure unsuspecting victims with promises of affordable housing, only to vanish into the digital ether once their pockets are lined with ill-gotten gains. Through WhatsApp messages and social media platforms like Facebook, they cast their net wide, preying on the desperate and the hopeful.

  Despite the frustration and helplessness she feels, the homeowner refuses to be a passive bystander in this fight against exploitation. By filing a complaint with the Denver Police and raising awareness about these fraudulent activities, she epitomizes the spirit of community activism.

  Yet, amidst the darkness, glimmers of hope emerge. Activists’ tireless efforts to educate and empower migrants through outreach initiatives exemplify the resilience of the human spirit. By equipping individuals with the tools to recognize and report scams, she instills a sense of agency in the face of adversity.

  At its core, the fight against rental scams transcends borders and boundaries. It is a testament to our collective humanity, a reaffirmation of our shared responsibility to protect the vulnerable among us.

  If you’re interested in supporting the migrant community in your area, there are numerous ways you can assist them in steering clear of rental scams.

  Please consider sharing information about common rental scams targeting migrants through social media, community forums, and local outreach events. You can also offer guidance and support to migrants who may be navigating the rental market for the first time in the US. Share tips on how to verify the legitimacy of rental listings.

  Many migrants may face language barriers when communicating with landlords or navigating rental agreements. Offer language assistance or connect them with interpreters or bilingual resources to ensure they fully understand their rights and obligations.

  Encourage individuals to report any suspicious rental listings or encounters with potential scammers to local law enforcement agencies, consumer protection authorities, or housing advocacy organizations. Prompt reporting can help prevent further victimization and protect others from falling prey to similar scams.

   
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  Geebo 8:00 am on May 1, 2024 Permalink | Reply
  Tags: deed transfer ( 13 ), forged title ( 3 ), real estate, Scams ( 1,355 ), title theft   

  Title Theft: The shocking crime robbing property owners blind 

  

  By Greg Collier

  In the heart of Houston, Texas, a tale of land theft has rattled the very foundations of property ownership. A landowner was recently devastated to learn that her cherished plot of land had been illicitly transferred to another party without her knowledge or consent.

  This story is not an isolated incident but rather a symptom of the growing criminal trend of title theft. This insidious form of fraud sees rightful property owners stripped of their assets, often resulting in substantial financial losses and profound emotional distress.

  Through a web of falsified documents, fake identities, and dishonest transactions spanning continents, these criminals exploit vulnerabilities in the property registration system to perpetrate their crimes. In the victim’s case, the paper trail led all the way to Austria, where a fake notary and fraudulent documents facilitated the transfer of her land to an unknown recipient.

  Efforts to combat title theft have been met with mixed success. Legislative measures aim to bolster protections for property owners by mandating stringent verification procedures for title transfers.

  County clerks play a pivotal role in safeguarding against title theft, with initiatives such as photo ID verification serving as crucial deterrents to fraudulent transactions. Yet, as evidenced by the victim’s ordeal, gaps in the enforcement of such measures persist, highlighting the need for greater collaboration between law enforcement agencies, legal professionals, and regulatory authorities.

  In the face of this ever-evolving threat, property owners are advised to take proactive steps to protect their assets. Utilizing resources such as property transaction alerts, offered by some county clerks, can provide an early warning system against unauthorized activities. Additionally, investing in title insurance and home title monitoring services can offer an added layer of security against potential losses resulting from title theft.